Syndicate bank proposes to raise ₹500 crore capital under Employee Stock Purchase Scheme (ESPS) by issuing up to 300 million shares to its employees, according to its executive director S. Krishnan.
Addressing a town hall meeting on Monday with staff members of Madurai region in Tiruchi to discuss the latest developments in banking and corporate goals, Mr. Krishnan said the employee share allotment would serve twin objectives of retaining talent and raising capital.
After the infusion of ₹3,983 crore in three tranches of which ₹1,603 crore was received during this month, the government holding in Syndicate Bank would go up to 83% from 76% at present.
The bank proposed to utilise the expertise of M/s Atyati Technologies Private Limited, a Fin Tech Company, to reach out to hitherto uncovered or undercovered MSE beneficiaries with thrust on women entrepreneurs for providing credit facilities upto ₹10 lakh.
The bank also proposed to have a tie up with M/s SREI Equipment Finance Limited, a leading financier in construction, mining and allied equipments, keeping in view RBI directions on lending to priority sector under co-ordination model, Mr. Krishnan said.
With the objective of maximising the fee-based income of the bank and to offer a wider choicer to customers, the bank had decided to partner with SBI Life, apart from LIC. It had created a separate vertical named Stressed Assets Management Vertical (SAMV) at its Corporate Office in Bengaluru to manage Stressed Assets of ₹5 crore, he said.
Mr. Krishnan exuded hope that the loan book would grow more in retail sector.